KKR & Co. announced Wednesday the final close of KKR Global Infrastructure Investors II at $3.1 billion, hitting its hard cap.
The fund will focus on infrastructure investments globally with an emphasis on Organization for Economic Cooperation and Development countries.
It will take a risk-based, rather than sector-based, approach to infrastructure investing, “focusing on investments with a ‘core’ profile (i.e. investments that provide access to core features such as a strong long-term link to inflation and diversification from equity market risk),” said a KKR spokeswoman in an e-mail.
The fund has already invested in the following portfolio companies: Acciona Energia Internacional, a renewable energy generation business, and Veresen Midstream, a natural gas midstream business.
“A decrease in public funding and weakened economic conditions in many regions are driving tremendous global demand for private investments in infrastructure, and KKR’s differentiated strategy allows us to meet this need with value-added solutions,” said Marc Lipschultz, global head of KKR’s energy and infrastructure group, in a news release.
Investors in KKR Global Infrastructure Investors II include the $12.8 billion Maine Public Employees Retirement System, Augusta; $14.4 billion Hawaii Employees' Retirement System, Honolulu; and $14.8 billion New Mexico Public Employees Retirement Association, Santa Fe.
Predecessor fund KKR Global Infrastructure Investors closed on May 31, 2012, at approximately $1 billion.
